Executives from Grayscale, a crypto asset manager, recently met with the Securities and Exchange Commission (SEC) to discuss their plans to convert their flagship Bitcoin trust into a spot Bitcoin exchange-traded fund (ETF). The meeting involved discussions about NYSE Arca’s proposed rule change to list and trade shares of the Grayscale Bitcoin Trust. Grayscale also announced that it had entered into an agreement with BNY Mellon to act as the agent for its Bitcoin Trust, facilitating the issuance and redemption of shares. Despite this development, analysts believe that the conversion to an ETF is not imminent. The SEC’s division of trading and markets is responsible for approving or denying proposed rule changes, and Grayscale’s agreement with BNY Mellon is seen as a necessary step in the process. Some experts believe that Grayscale has a good chance of dominating the ETF category if it can list its trust on NYSE Arca at the same time as other issuers launch spot Bitcoin ETFs. Grayscale submitted a registration statement with the SEC in October, and a U.S. appellate court has mandated the SEC to review its decision to deny Grayscale’s bid for conversion. Other major asset managers, including BlackRock and Fidelity, are also seeking SEC approval for spot Bitcoin ETFs. Analysts remain optimistic about the likelihood of approval for a Bitcoin ETF, with some estimating a 90% chance of approval by January 10, 2024.

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Information	Details
Geography	North America
Countries	🇺🇸
Sentiment	positive
Relevance Score	1
People	Michael Sonnenshein, James Seyffart, Craig Salm, Nate Geraci, Dave LaValle
Companies	Davis Polk, NYSE Arca, BNY Mellon, Securities and Exchange Commission, Grayscale, Fidelity, BlackRock
Currencies	Bitcoin
Securities	None